LEADING THE PACK! Neville picks between Arsenal and Man City for Premier League title favourites after perfect starts to new season

Gary Neville feels Manchester City can now run Arsenal close in the title race after a flurry of late transfer activity - but they are not quite on the level of defending champions.

Mikel Arteta oversaw Arsenal's first Premier League title win for 22 years last term after finally besting Manchester City in the title race. Both sides have strengthened over the summer, although City are now under new management after Pep Guardiola decided to bring the curtain down on his trophy-laden reign in Manchester back in May.

After two years away from their throne, City have reshaped their squad with big-money deals for Enzo Fernandez and Ayyoub Bouaddi in the summer transfer window.

But City have been told that Arsenal are still a better team, even though Neville feels they have closed the gap on their title rivals somewhat.

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"There was a point probably two or three weeks before the end of the transfer window when City didn’t have in Bouaddi, Enzo Fernandez and Ndiaye that you thought they look well short, particularly in midfield," Neville told Sky Sports.

"They get those three in late on which is £250million worth of business I think and it’s transformed the look of the team."

City, like Arsenal, have a 100 per cent record in the Premier League from their opening four games after beating Manchester United in the Manchester derby on Sunday. Neville feels the availability of their experienced defenders will be crucial to any hopes City have of matching Arsenal stride for stride as the season progresses.

He added: "And I think the big thing for City is it’s going to come down to the defence. It’s going to come down to Dias being fit. It’s going to come down to Gvardiol being fit.

"The experienced players back there and Guehi, obviously. If you can keep that back four and you’ve got Khusanov on the bench and Nico O’Reilly, it’s a youngish back four as with some younger defenders.

"If they don’t pick up injuries Manchester City they can give Arsenal a real run. I still think Arsenal are better, but City have improved enormously with the signings they made at the end of the window.

"That [beating Manchester United] was big for Maresca, to establish a big-game mentality."